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BT Group FY Profit Down

Telecom company BT Group plc (BT_A.L,BT) reported that its profit after tax for the full year ended 31 March 2021 declined to 1.47 billion pounds from 1.73 billion pounds in the prior year. Basic earnings per share decreased to 14.8 pence from 17.5 pence last year.

Reported profit before tax was 1.80 billion pounds, down 23% from last year, primarily due to reduced EBITDA.

Adjusted EBITDA was 7.42 billion pounds, down 6% from the prior year, primarily due to the fall in revenue, special frontline bonus, increased service costs and continued investment in copper-to-fibre migrations and our FTTP base, partly offset by sports rights rebates and cost savings including modernisation programme, tight cost control, and Covid-19 mitigation actions.

Annual revenue was 21.33 billion pounds, down 7% from last year, primarily due to the impact of Covid-19 on Consumer and enterprise units, ongoing legacy product declines and divestments, partly offset by higher equipment revenue and Openreach bases in fibre and Ethernet. Adjusted revenue was down 6% in line with expectation.

Looking ahead for 2021/22, the company expects adjusted revenue to be broadly flat year on year; adjusted EBITDA of 7.5 billion pounds - 7.7 billion pounds.

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